Section 4- 1979-87 Flashcards
When did Thatcher come into power?
1979
When was the adoption of the monetarist policy?
1980
When was the Falklands war?
1982
When was Thatcher’s second election victory?
1983
When did Neil Kinnock become leader of Labour?
1983
When were the miner’s strikes?
1984
When was the IRA Brighton bombing?
1984
what were some key events in 1986?
Westland Affair
supply-side economics adopted
Single European act
What was Thatcher’s political ideology?
The New Right
What were Thatcher’s policies?
Free markets
Monetarism
Privatisation
Cuts in public spending
Cuts in taxes
Emphasising individuals
What was the nickname given to ministers who did not support Thatcher’s policies?
wets
What was the nickname given to ministers who did support Thatcher’s policies?
drys
what time period did labour lose 4 elections in a row?
1979-1992
who led the splits in labour?
Benn and Foot
Foot’s ideology?
Foot was a Bevanite who supported unilateral nuclear disarmament, and only narrowly beat Dennis Healey (centre-right), who became deputy leader
Benn’s ideology?
Tony Benn’s influence grew, despite losing as deputy leader, but he was hugely unpopular among moderates, over issues such as his opposition to EEC membership
What did left-wing labour believe in?
Trade Unions: Vital part of Labour movement, especially as it was crucial to origins
EEC: Only beneficial for employers, therefore Britain should leave
Nuclear Weapons: Unilateral disarmament - makes the world more dangerous
What did right-wing labour believe in?
trade unions: Too influential
EEC: Essential for Britain’s economic interests as well as peace in Europe
Nuclear Weapons: Threat of USSR significant – Britain should retain weapons
Who were the ‘gang of four’?
Roy Jenkins, former MP, Home Secretary and Chancellor of the Exchequer (leader of SDP)
David Owen, Labour MP, former Foreign Secretary
Bill Rogers, Labour MP, former Transport Secretary
Shirley Williams, former MP, former Secretary of State for Education
what did the gang of four create?
the social democratic party
why was the social democratic party created?
All had worked for the Wilson and Callaghan governments, but had become frustrated with the anti-EEC and pro-trade union nature of the party
Aimed to be radical but not socialist, and attract disaffected members of Labour and Conservative parties
1979- how many seats did thatcher win with?
43 seats- led to callaghan’s resignation
1983- how many seats did thatcher win with?
144
what helped Thatcher win the 1983 election
The Falklands
Foot’s unpopularity
1987-how many seats did thatcher win with?
100 seats
by 1980- what was inflation running at?
15%
by 1980 how many were unemployed?
2 million
what prevented a run on the pound and a balance of payments deficit?
North Sea gas and oil
what did the monetarist policy include?
decreasing government borrowing, cuts to council grants, and a benefits freeze
what was standard rate tax of income tax reduced by?
33% to 30%, and the higher rate from 83% to 60%
what was tax on unearned income reduced be?
98% to 75%
what was VAT increased by?
8%/12% to a flat rate of 15%
what did interest rates increase by?
jumping from 12% to 17% in 6 months
What did the 1986 local government act do?
introduced rate capping, limiting local taxes, expanded centralised powers by abolishing metropolitan local authorities
in 1979 how much did manufacturing bring into the country?
30% national income
employed 6.8 million people
which companies were privatised?
British airways
British telecom
British steel
British gas
British ship builders
what did privatisation lead to?
higher quality for less price
people lost jobs
what flotation did british gas recieve?
£5/6 million
what did share princes increase by?
50p-67p ending at 62 and 1/2p
by 1990 how many businesses had been privatised?
more than 40 businesses employing 600,000 workers
what flotation had british telecom recieved?
£4bn in 1984
what did chris huhne propose?
a market that gives to low-carbon forms of generation
what was thatcher’s saying
‘the lady is not for turning’
when did thatcher remove the fair wages act?
1982
what was the 1983 investigation?
the legality of Stock Exchange practices around minimum commissions, and its elite nature
what did the october big bang 1986 lead to?
removed fixed commission charges, distinction between broker/jobber, and the social class limitations